Minnesota Releases 2025 Withholding Methods

Jan. 7, 2025, 9:06 PM UTC

Minnesota released its 2025 withholding methods on Jan. 7, according to the state revenue department.

The withholding rate for 2025 is 6.25%, the same as the supplemental wage rate and unchanged from 2024.

The value of a state allowance in the withholding methods increased to $5,200 from $5,050. The tax brackets used in the percentage method were adjusted.

The threshold for income withholding exemption increased to $14,950 for 2025, up from $14,575 in 2024. Additionally, the interest rate for tax underpayments for 2025 remained at 8%, unchanged from the 2024 rate, the department said.

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